In a Public Hearing on ADI 7791, held at the STF last Monday, the sensitive issue of the CVM's (Brazilian Securities and Exchange Commission) oversight fee and its unsubstantial allocation to the purpose that justified its creation was discussed. On that occasion, partner Gustavo Borba, as a guest expert, gave a presentation on the importance of the market regulator having a structure and budget compatible with its institutional function, considering the size and complexity of the current capital market. In his presentation, Gustavo Borba explained, among other things, the importance of an efficient oversight/punitive activity to propagate the deterrent effect that is essential for the proper functioning of the capital market.
Original video: https://youtu.be/sbFgufC8I88?t=8278
The day after the high-level debates, an important preliminary injunction was granted by Minister Flavio Dino, guaranteeing that the funds raised by the fee would be allocated, for the most part, to the structuring of the CVM (Brazilian Securities and Exchange Commission), which constitutes a historic milestone for the Brazilian capital market.